Newell Rubbermaid Inc. Earnings Cheat Sheet: Reversing to a Loss Following Two Consecutive Quarters of Profit

S&P 500 (NYSE:SPY) component Newell Rubbermaid Inc. (NYSE:NWL) reported its results for the third quarter. Newell Rubbermaid markets consumer and commercial products, including housewares, hardware, and home furnishings.

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

Newell Rubbermaid Earnings Cheat Sheet for the Third Quarter

Results: Reported a loss of $177.6 million (61 cents per diluted share) in the quarter. The housewares and accessories company had net income of $28.3 million or 9 cents per share in the year earlier quarter.

Revenue: Rose 6% to $1.55 billion from the year earlier quarter.

Actual vs. Wall St. Expectations: NWL reported adjusted net income of 45 cents per share. By that measure, the company beat the mean estimate of 43 cents per share. Analysts were expecting revenue of $1.56 billion.

Quoting Management: Michael Polk, President and Chief Executive Officer, commented, “Our third quarter results represent a solid step forward. Core sales growth, operating income margin improvement and operating cash flow came in as expected and improved meaningfully versus our first half and year ago results. These are good numbers in the context of a really tough macro environment and represent progress towards our goal of delivering consistent predictable results and sustainable profitable growth.”

Key Stats:

The company has now topped analyst estimates for the last four quarters. It beat the mark by 4 cents in the second quarter, by 2 cents in the first quarter, and by 2 cents in the fourth quarter of the last fiscal year.

The company’s loss in the latest quarter follows profits in the previous three quarters. The company reported a profit of $146.7 million in the second quarter, a profit of $75.7 million in the first quarter and $75.7 million in the fourth of the last fiscal year.

The company’s revenue has now risen for two straight quarters. In the second quarter, revenue increased 5.1% to $1.57 billion from the year earlier quarter.

Looking Forward: Expectations for the company’s next quarter results are lower than they have been. Over the past sixty days, the average estimate for fourth quarter has fallen from 39 cents per share to 38 cents. Over the past sixty days, the average estimate for the fiscal year has reached $1.56 abs per share, a decline from $1.57.

Competitors to Watch: Jarden Corporation (NYSE:JAH), The Female Health Company (NASDAQ:FHCO), WES Consulting Inc (LUVU), The Procter & Gamble Co. (NYSE:PG), Fortune Brands, Inc. (NYSE:FO), Carlisle Companies, Inc. (NYSE:CSL), Katy Industries, Inc. (KATY), The Clorox Company (NYSE:CLX), and Condomi AG (NYSE:CAG).

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

(Source: Xignite Financials)

 

More from The Cheat Sheet